Halal industry shaken as certification bodies accuse Indonesia’s MUI official of extortion

A senior official in Indonesia’s top halal certification authority has been accused of extorting money from certification bodies to renew their licences, according to documents seen by Salaam Gateway.

Among these letters, affidavits and email trails, Lukmanul Hakim, head of Majelis Ulema Indonesia (MUI) Assessment Institute for Foods, Drugs And Cosmetics (LPPOM), is said to have “misused/corrupted his position” as LPPOM’s executive director.

LPPOM-MUI is Indonesia’s top Muslim clerical body that has been the country’s only halal certifier for around two decades. As part of its services, LPPOM-MUI recognises halal certificates issued by foreign certifying bodies that it approves. This recognition is based on the capability of the foreign certifying body to comply with LPPOM-MUI’s halal standards and procedures. For approved foreign certifying bodies and the companies whose products they certify, this means access into the Indonesian market. This is an important source of business for halal certifying bodies that are paid for their services by companies seeking entry into Indonesia.